Northeast Kingdom

Tony Sutton, an EB-5 investor, is suing the State of Vermont for being complicit in multi-million-dollar fraud allegedly perpetrated by those in charge of Jay Peak.
Lisa Rathke / AP

Many foreign investors in Jay Peak’s EB-5 developments are scrambling in the wake of charges that the resort orchestrated a massive securities fraud with their money. But it’s more than just money riding on the outcome for some investors.

Amy Kolb Noyes / VPR

This week, new form-based zoning regulations went into effect in Shelburne. It’s a concept the town has been studying for over five years, in an effort to fight sprawl on Route 7.

Steve Legge / AP file

The business executive running two Northeast Kingdom ski resorts involved in a federal fraud investigation says both businesses have enough money to stay viable for the time being.

Ric Cengeri / VPR

Two weeks ago, shockwaves struck the Northeast Kingdom. The offices of Jay Peak and Q Burke were raided because of alleged improprieties involving the misuse of EB-5 funds.

So how has the news affected the psyche and the economic hopes of the region?

Taylor Dobbs / VPR

Gov. Peter Shumlin and his top commerce official visited Jay Peak Wednesday to ease concerns about the future of that resort as well as Q Burke and other developments in the area funded by the federal EB-5 program.

Taylor Dobbs / VPR

Allegations of fraud at multiple developments in the Northeast Kingdom have raised major questions about the future of those projects and the jobs they were supposed to create, and Northeast Kingdom residents weren't the only ones counting on those jobs. For foreign investors who used the federal EB-5 program to fund the projects and pay their way into the United States, the alleged fraud could jeopardize their immigration status.

A downtown Newport development project is in doubt following fraud allegations against the project developers. State and local officials met this week to talk more about the project's future but few answers were found.

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Of all the alleged EB-5 frauds perpetrated by Bill Stenger and Ariel Quiros, none was as grand in scale as the case of AnC Bio. 

Rebecca Sananes / VPR

The fate of a proposed redevelopment project in downtown Newport – halted since March – is now even less clear following allegations of fraud against two Northeast Kingdom developers, Bill Stenger and Ariel Quiros.  

Courtesy of Vermont Department of Financial Regulation

The bombshell allegations last week surrounding development projects in the Northeast Kingdom point to a $200 hundred million scheme to defraud investors. On the next Vermont Edition, Vermont's top financial regulator Commissioner Susan Donegan explains what happened at Q Burke and Jay Peak ski resorts.

Vermont Business Magazine

Federal authorities launched an investigation into Jay Peak’s EB-5 projects nearly a year before state officials had their first inkling that something illegal was afoot. And documents on file at the Securities and Exchange Commission indicate that the agency had strong forensic evidence of a massive fraud well before the changes in state regulatory oversight that Gov. Peter Shumlin now credits for taking down the “Ponzi-like” scheme.

Clockwise from top left: Vermont Department of Financial Regulation; Alden Pellet/AP; Freeman/French/Freeman; Steve Legge/AP

The news on Thursday of major, alleged fraud in the Northeast Kingdom was a punch in the gut for Vermonters who had nurtured dreams of economic revitalization in the area. But the story is pretty complicated. If you’re coming to it cold, here’s what you need to know.

The man at the center of a massive alleged fraud in the Northeast Kingdom has been a major donor to the Vermont Democratic Party.

Jeb Wallace-Brodeur for VPR

A private venture that was supposed to spark an economic renaissance in northern Vermont has turned into what state and federal authorities are calling a “Ponzi-like” fraud on foreign investors, who have allegedly been duped out of tens of millions of dollars by the owner of Jay Peak. 

Herb Swanson / swanpix.com

The Securities and Exchange Commission says that two Northeast Kingdom developers and their companies have defrauded foreign investors in the federal EB-5 program.

Federal and state authorities raided the Jay Peak and Q Burke resorts Wednesday.

Cellars at Jasper Hill

The Northeast Kingdom is home to some of the state's best known agricultural businesses, yet the region has one of Vermont's highest food insecurity rates. That is one of the puzzles to be addressed at next month's Northeast Kingdom Food System Plan Summit.

J. Stephen Conn / Flickr Creative Commons

A Canadian company could begin hiring as early as this spring at a new manufacturing facility in St. Johnsbury.

Charlotte Albright / VPR

Bag Balm, that yellowish salve made in the Northeast Kingdom, was developed 115 years ago for farmers who wanted to soften their cows’ teats before milking.

Herb Swanson / swanpix.com

It's hard to imagine a worse disease than amyotrophic lateral sclerosis, or ALS. The muscle-wasting affliction strikes about 5,600 patients each year. Thirty thousand people are living with it in the United States. The vast majority of those cases are not inherited.

But for families that do carry the gene, it is especially heartbreaking. One of those families lives in Vermont, and they are helping to advance medical research.

Charlotte Albright / VPR

Vermont’s new school consolidation law is raising concerns about school choice. Currently, students who live in towns that do not operate schools may take their state tuition dollars elsewhere, even to private academies.

But there is confusion about whether — and how — districts can hold onto choice as they combine under the new law.

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